Medpace (NASDAQ:MEDP – Get Free Report) announced its quarterly earnings data on Wednesday. The company reported $4.84 EPS for the quarter, topping the consensus estimate of $4.44 by $0.40, FiscalAI reports. The company had revenue of $716.00 million during the quarter, compared to the consensus estimate of $714.47 million. Medpace had a net margin of 18.24% and a return on equity of 104.17%. The company’s quarterly revenue was up 8.5% on a year-over-year basis. During the same quarter last year, the firm posted $3.86 EPS.
Medpace Stock Performance
Shares of NASDAQ:MEDP opened at $653.96 on Friday. The business’s 50 day simple moving average is $609.84 and its two-hundred day simple moving average is $536.74. The firm has a market cap of $18.25 billion, a P/E ratio of 38.33, a PEG ratio of 2.96 and a beta of 1.18. Medpace has a 52-week low of $373.00 and a 52-week high of $684.52.
Key Stories Impacting Medpace
Here are the key news stories impacting Medpace this week:
- Positive Sentiment: Third-quarter results exceeded expectations. Medpace reported adjusted earnings of $4.84 per share, ahead of the roughly $4.44-$4.45 consensus, while revenue reached $716 million versus estimates of $714.5 million. Revenue increased 8.5% year over year, and earnings rose from $3.86 per share in the prior-year quarter. Medpace Q3 Earnings and Revenues Beat Estimates
- Positive Sentiment: Forward outlook and demand indicators supported the bullish case. Management forecast 2026 earnings of $17.97-$18.32 per share, described as above Wall Street expectations. Net new business awards totaled $873 million in the quarter, and ending backlog rose 5.6% year over year to $3.2 billion, providing revenue visibility. Medpace 2026 Forecast and Buyback
- Positive Sentiment: A new $1 billion buyback may bolster shareholder returns. The authorization replaces the prior repurchase program and signals management’s confidence in cash generation and the company’s valuation, while reducing the number of shares outstanding if fully executed. Medpace Buyback and Third-Quarter Profit
- Neutral Sentiment: Analyst sentiment remains cautious. Deutsche Bank raised its price target to $650 from $535 but maintained a Hold rating, suggesting improved expectations are already largely reflected in the shares. Deutsche Bank Medpace Price Target
- Negative Sentiment: Valuation and growth concerns limited the reaction. Commentary characterized MEDP as potentially about 24% overvalued, while the stock’s elevated earnings multiple leaves less room for execution or guidance disappointments. Investors also questioned whether the modest backlog growth and revenue expansion were sufficient to justify the premium valuation. Medpace Valuation After Q3 Beat
Insider Buying and Selling
In other news, CEO August Troendle sold 21,966 shares of the business’s stock in a transaction that occurred on Wednesday, September 30th. The stock was sold at an average price of $625.47, for a total transaction of $13,739,074.02. Following the completion of the sale, the chief executive officer owned 338,225 shares in the company, valued at $211,549,590.75. The trade was a 6.10% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Insiders sold a total of 336,140 shares of company stock valued at $208,008,328 over the last ninety days. Company insiders own 20.50% of the company’s stock.
Wall Street Analysts Forecast Growth
A number of research analysts recently issued reports on the stock. TD Cowen boosted their target price on shares of Medpace from $419.00 to $492.00 and gave the company a “hold” rating in a research report on Friday, July 24th. Robert W. Baird raised their price target on shares of Medpace from $547.00 to $624.00 and gave the stock a “neutral” rating in a report on Friday, July 24th. Leerink Partners set a $620.00 price target on shares of Medpace in a report on Thursday, July 23rd. Barclays set a $675.00 price target on shares of Medpace in a research note on Friday. Finally, Weiss Ratings upgraded shares of Medpace from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, October 8th. Three investment analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Medpace presently has a consensus rating of “Hold” and a consensus price target of $612.27.
Get Our Latest Stock Report on Medpace
Medpace Company Profile
Medpace Holdings, Inc is a contract research organization (CRO) that provides clinical development services to biotechnology, pharmaceutical and medical device companies. The company supports sponsors throughout the development process, from early-stage planning and regulatory submissions through clinical trial execution, data management, analysis and reporting.
Medpace’s services include Phase I through Phase IV clinical research, clinical monitoring, biostatistics, data management, medical writing, pharmacovigilance, regulatory consulting and central laboratory services.
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